Kerron Company is presented with the following two mutually exclusive projects. The required return for both projects is 15 percent.

Year _________Project M ___________Project N

0 .................. -$125,000 ................ -$310,000

1 ...................... 57,000 ................... 135,000

2 ...................... 64,000 ................... 161,000

3 ...................... 59,000 ................... 129,000

4 ...................... 34,000 ..................... 92,000

a. What is the IRR for each project?

b. What is the NPV for each project?

c. Which, if either, of the projects should the company accept?